H.R. 3746: Rebuilding America’s Airport Infrastructure Act

This bill, titled the Rebuilding America’s Airport Infrastructure Act, proposes changes to the way passenger facility charges (PFCs) are managed by airports in the United States. Here are the key points of the bill:

Modification of Passenger Facility Charges

• The bill amends the existing laws concerning passenger facility charges, which are fees that airports can impose on passengers to help fund airport improvements and infrastructure projects.
• Current regulations allow for certain maximum charges; the bill alters these limits as follows:
  • Starting January 1, 2027, the maximum fee would increase to $5.50.
  • From January 1, 2028, it would rise to $6.50.
  • On January 1, 2029, it would become $7.50.
  • From January 1, 2030, it would increase to $8.50 and will be adjusted annually for inflation thereafter.

Changes to PFC Program Administration

• The amendments remove some previous limits on the types of projects that can be funded through PFCs.
• Additionally, the bill clarifies the regulatory framework for how these charges are administered and ensures that there is greater flexibility for airports to utilize the funds collected.

Implementation Timeline

• The changes to passenger facility charges will take effect for charges imposed on or after January 1, 2027.

Relevant Companies

• UAL - United Airlines: Likely to be affected as an airline must account for the increase in passenger facility charges, which could affect ticket pricing and operating costs.
• DAL - Delta Air Lines: Similar implications as UAL, regarding increased costs passed on to passengers.
• AAL - American Airlines: Increased PFCs could impact their pricing strategies and overall customer demand.
• LUV - Southwest Airlines: Changes may influence fare structures and travel expenses for customers.